Honda Jazz @ Discount.... Beginning of Price Correction !

Joe M · 8th December 2009, 16:47

I think Honda could have made a better sales, had they decided to give year-end offer in pricing, as Ford is doing with Fiesta, Instead of giving more goodies at the same, high price tag. With the i-Vtech engine, it would be a great buy, if only at a lower price.

Vid6639 · 8th December 2009, 16:58

Today's bangalore newspaper says free insurance on the Jazz for december.

vasudeva · 8th December 2009, 17:17

Perhaps they can give the cash instead of some quite useless stuff (massager, company chosen seat covers).

FYI, Jazz sold 546 in 11/2009.

wildon · 8th December 2009, 17:22

Quote:

Originally Posted by vasudeva

FYI, Jazz sold 546 in 11/2009.

They deserved it.

akas_chauhan · 8th December 2009, 17:32

Seems like they want to meet target and that's why this advertisement. As somebody already pointed out i really doubt goodies really worth 52K.

Vid6639 · 8th December 2009, 17:34

They are giving 4.99% interest rate on 5L or free insurance. Not both.

If they give both then atleast it will be a little more vfm.

ACM · 8th December 2009, 17:39

Goo dies worth 52K from the authorized dealer would be worth juat about 25K in the outside world.

Trapezio · 8th December 2009, 17:50

There was a prolonged argument (war!) on the reasoning of Honda Jazz' pricing on some other thread. I do not wish to repeat it here.

But I wonder what will happen to the resale values three years down the line. This car is more expensive than competitors by so wide a margin that you would have to knock quite some amount while reselling. In 2012 why would somebody buy a three year old Honda Jazz for say five lakhs when he can get a brand new Punto, Fida, Swift (new one), Polo, i20, Sandero (looks more convincing than the Logan), new Toyota Small car etc for the same price?

rajshenoy · 8th December 2009, 18:31

Thanks to the way Jazz is priced, i guess it has become a blessing in disguise for otherwise overpriced i20

I am hearing many stories of people choosing i20 over Jazz since i20 is cheaper than Jazz and if i am not wrong it is fully loaded

Sudan_NFS · 8th December 2009, 19:19

Quote:

Originally Posted by rajshenoy

Thanks to the way Jazz is priced, i guess it has become a blessing in disguise for otherwise overpriced i20

I am hearing many stories of people choosing i20 over Jazz since i20 is cheaper than Jazz and if i am not wrong it is fully loaded

I think you can get i20 diesel with sunroof & 6 Airbags or 1.4 Auto with Sunroof & 6 airbags for the prize of Jazz

Car&me · 8th December 2009, 19:34

It certainly is a stock clearance.
Honda took their City strategy and priced Jazz higher, stocked it more hoping that people will buy for Honda badge.
People are smart; realization kicks in 'why to buy a hatch at that price when I can buy a decent sedan without the Honda badge'.
Honda must realize that the premium pricing strategy will not work out in sub 7 lakh. The customer under 7 lakh would need maximum value for money and a premium brand alone will not suffice.
Its India we are talking about where people look for more VFM and Honda can win this segment or any lower segments only when it becomes a VFM car.

Now that they are toying with a idea of much smaller car, Swift beater I presume, they have to get their India Pricing act together.

iraghava · 9th December 2009, 00:47

25k straight off on the Jazz from Delhi dealers and that's without any bargaining!

raul · 9th December 2009, 01:47

Honda is always reluctant to lower prices, infact they appear somewhat religious about it, and I guess this is good for resale value, but it also puts a greater responsibility on them to get the pricing exactly right, and while they have got away with it on the City, with the Jazz its proving more difficult.

The pity is Jazz is a good car, good design, great internal space and layout, somewhat encumbered by 1.2 engine, 50-75k less would have made all the difference imho, and given more space and flexibility on City pricing.

GTO · 9th December 2009, 13:23

Whether stock clearance or not, 50K is still not enough. The Jazz deserves a price correction of atleast 1.25 lakhs.

Ajmat had mentioned a Renault instance on another thread : In the UK, they overpriced some car. When the market didn't bite, they accepted their goof-up, corrected the price to more realistic levels and sent a voucher to all existing customers. This is the only way for the Jazz to move forward.

.anshuman · 9th December 2009, 15:15

I remember somebody from Honda mention in an interview that production cost of Jazz is similar to making a ANHC, so Honda might be avoiding repricing City. Minor discounts like 50k wont do any wonders to Jazz's sales.

8th December 2009, 16:47	#31
Joe M BHPian Join Date: Oct 2007 Location: Sydney/Cochin Posts: 290 Thanked: 169 Times View My Garage	I think Honda could have made a better sales, had they decided to give year-end offer in pricing, as Ford is doing with Fiesta, Instead of giving more goodies at the same, high price tag. With the i-Vtech engine, it would be a great buy, if only at a lower price.
	() Thanks

8th December 2009, 16:58	#32
Vid6639 Team-BHP Support Join Date: Jul 2006 Location: Bangalore Posts: 17,728 Thanked: 43,463 Times View My Garage	Today's bangalore newspaper says free insurance on the Jazz for december.
	() Thanks

8th December 2009, 17:17	#33
vasudeva Senior - BHPian Join Date: Mar 2007 Location: Delhi Posts: 2,221 Thanked: 212 Times	Perhaps they can give the cash instead of some quite useless stuff (massager, company chosen seat covers). FYI, Jazz sold 546 in 11/2009.
	() Thanks

8th December 2009, 17:32	#35
akas_chauhan BHPian Join Date: Dec 2008 Location: San Antonio Posts: 596 Thanked: 25 Times	Seems like they want to meet target and that's why this advertisement. As somebody already pointed out i really doubt goodies really worth 52K.
	() Thanks

8th December 2009, 17:34	#36
Vid6639 Team-BHP Support Join Date: Jul 2006 Location: Bangalore Posts: 17,728 Thanked: 43,463 Times View My Garage	They are giving 4.99% interest rate on 5L or free insurance. Not both. If they give both then atleast it will be a little more vfm.
	() Thanks

8th December 2009, 17:39	#37
ACM Distinguished - BHPian Join Date: Mar 2008 Location: Mumbai Posts: 4,745 Thanked: 4,361 Times View My Garage	Goo dies worth 52K from the authorized dealer would be worth juat about 25K in the outside world.
	() Thanks

8th December 2009, 17:50	#38
Trapezio BHPian Join Date: May 2007 Location: Kerala Posts: 640 Thanked: 63 Times	There was a prolonged argument (war!) on the reasoning of Honda Jazz' pricing on some other thread. I do not wish to repeat it here. But I wonder what will happen to the resale values three years down the line. This car is more expensive than competitors by so wide a margin that you would have to knock quite some amount while reselling. In 2012 why would somebody buy a three year old Honda Jazz for say five lakhs when he can get a brand new Punto, Fida, Swift (new one), Polo, i20, Sandero (looks more convincing than the Logan), new Toyota Small car etc for the same price?
	() Thanks

8th December 2009, 18:31	#39
rajshenoy Senior - BHPian Join Date: Apr 2006 Location: bangalore Posts: 2,884 Thanked: 2,230 Times View My Garage	Thanks to the way Jazz is priced, i guess it has become a blessing in disguise for otherwise overpriced i20 I am hearing many stories of people choosing i20 over Jazz since i20 is cheaper than Jazz and if i am not wrong it is fully loaded
	() Thanks

8th December 2009, 19:34	#41
Car&me BHPian Join Date: Jul 2007 Location: Chennai Posts: 207 Thanked: 36 Times	It certainly is a stock clearance. Honda took their City strategy and priced Jazz higher, stocked it more hoping that people will buy for Honda badge. People are smart; realization kicks in 'why to buy a hatch at that price when I can buy a decent sedan without the Honda badge'. Honda must realize that the premium pricing strategy will not work out in sub 7 lakh. The customer under 7 lakh would need maximum value for money and a premium brand alone will not suffice. Its India we are talking about where people look for more VFM and Honda can win this segment or any lower segments only when it becomes a VFM car. Now that they are toying with a idea of much smaller car, Swift beater I presume, they have to get their India Pricing act together. Last edited by Car&me : 8th December 2009 at 19:41.
	() Thanks

9th December 2009, 00:47	#42
iraghava Senior - BHPian Join Date: Oct 2005 Location: Bhaiyyaland Posts: 8,033 Thanked: 265 Times View My Garage	25k straight off on the Jazz from Delhi dealers and that's without any bargaining!
	() Thanks

9th December 2009, 01:47	#43
raul BHPian Join Date: Jul 2004 Location: Pune Posts: 920 Thanked: 372 Times	Honda is always reluctant to lower prices, infact they appear somewhat religious about it, and I guess this is good for resale value, but it also puts a greater responsibility on them to get the pricing exactly right, and while they have got away with it on the City, with the Jazz its proving more difficult. The pity is Jazz is a good car, good design, great internal space and layout, somewhat encumbered by 1.2 engine, 50-75k less would have made all the difference imho, and given more space and flexibility on City pricing.
	() Thanks

9th December 2009, 13:23	#44
GTO Team-BHP Support Join Date: Feb 2004 Location: Bombay Posts: 70,501 Thanked: 300,594 Times View My Garage	Whether stock clearance or not, 50K is still not enough. The Jazz deserves a price correction of atleast 1.25 lakhs. Ajmat had mentioned a Renault instance on another thread : In the UK, they overpriced some car. When the market didn't bite, they accepted their goof-up, corrected the price to more realistic levels and sent a voucher to all existing customers. This is the only way for the Jazz to move forward.
	() Thanks

9th December 2009, 15:15	#45
.anshuman Distinguished - BHPian Join Date: Dec 2004 Location: Good-Gaon Posts: 7,763 Thanked: 11,064 Times View My Garage	I remember somebody from Honda mention in an interview that production cost of Jazz is similar to making a ANHC, so Honda might be avoiding repricing City. Minor discounts like 50k wont do any wonders to Jazz's sales.
	() Thanks